Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2018 | May 15, 2018 | |
Document Information [Line Items] | ||
Entity Registrant Name | ACCELERIZE INC. | |
Entity Central Index Key | 1,352,952 | |
Trading Symbol | aclz | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Well-known Seasoned Issuer | No | |
Entity Common Stock, Shares Outstanding (in shares) | 65,939,709 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Assets | ||
Cash | $ 805,880 | $ 166,883 |
Restricted cash | 50,000 | 50,000 |
Accounts receivable, net of allowance for bad debt of $235,703 and $471,144, respectively | 2,856,152 | 2,692,636 |
Prepaid expenses and other assets | 445,449 | 548,343 |
Total current assets | 4,157,481 | 3,457,862 |
Property and equipment, net of accumulated depreciation of $794,189 and $775,152, respectively | 82,043 | 69,405 |
Intangible assets, net of accumulated amortization of $2,617,203 and $2,512,203, respectively | 4,195,523 | 3,925,523 |
Other assets | 125,906 | 123,124 |
Total assets | 8,560,953 | 7,575,914 |
LIABILITIES AND STOCKHOLDERS' DEFICIT | ||
Accounts payable and accrued expenses | 2,242,116 | 2,479,083 |
Deferred revenues | 476,831 | 299,937 |
Credit facility, short term | 3,243,367 | 3,055,812 |
Other short-term loan, net of unamortized deferred financing cost of $0 and $0, respectively | 1,224,194 | |
Total current liabilities | 5,962,314 | 7,059,026 |
Credit facility, net of unamortized deferred financing cost of $1,457,249 and $245,584, respectively | 6,841,709 | 4,402,988 |
Other long-term loan, net of unamortized deferred financing cost of $0 and $82,868, respectively | 267,938 | |
Other liabilities | 956,250 | 1,062,500 |
Total liabilities | 13,760,273 | 12,792,452 |
Stockholders' Deficit: | ||
Common stock; $0.001 par value; 100,000,000 shares authorized; 65,939,709 and 65,939,709 shares issued and outstanding, respectively | 65,938 | 65,938 |
Additional paid-in capital | 27,557,795 | 26,301,748 |
Accumulated deficit | (32,799,143) | (31,542,684) |
Accumulated other comprehensive loss | (23,910) | (41,540) |
Total stockholders’ deficit | (5,199,320) | (5,216,538) |
Total liabilities and stockholders’ deficit | 8,560,953 | 7,575,914 |
Series A Preferred Stock [Member] | ||
Stockholders' Deficit: | ||
Preferred stock | ||
Series B Preferred Stock [Member] | ||
Stockholders' Deficit: | ||
Preferred stock |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 | |
Accounts receivable, allowance for bad debt | $ 235,703 | $ 471,144 | |
Property and equipment, accumulated depreciation | [1] | 794,189 | 775,152 |
Intangible assets, accumulated amortization | 2,617,203 | 2,512,203 | |
Deferred financing cost, current | 0 | 0 | |
Deferred financing cost, credit facility | 1,457,249 | 245,584 | |
Deferred financing cost, noncurrent | $ 0 | $ 82,868 | |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 | |
Common stock, shares issued (in shares) | 65,939,709 | 65,939,709 | |
Common stock, shares outstanding (in shares) | 65,939,709 | 65,939,709 | |
Series A Preferred Stock [Member] | |||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | |
Preferred stock, shares authorized (in shares) | 54,000 | 54,000 | |
Preferred stock, shares issued (in shares) | 0 | 0 | |
Preferred stock, shares outstanding (in shares) | 0 | 0 | |
Series B Preferred Stock [Member] | |||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | |
Preferred stock, shares authorized (in shares) | 1,946,000 | 1,946,000 | |
Preferred stock, shares issued (in shares) | 0 | 0 | |
Preferred stock, shares outstanding (in shares) | 0 | 0 | |
[1] | Includes 4,977 in foreign exchange translation |
Unaudited Condensed Consolidate
Unaudited Condensed Consolidated Statements of Operations - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Revenues: | $ 5,992,748 | $ 5,956,724 |
Cost of revenue | 2,353,860 | 1,545,345 |
Gross profit | 3,638,888 | 4,411,379 |
Operating expenses: | ||
Research and development | 1,122,623 | 1,043,119 |
Sales and marketing | 1,170,484 | 1,216,490 |
General and administrative | 1,999,886 | 1,926,242 |
Total operating expenses | 4,292,993 | 4,185,851 |
Operating (loss) income | (654,105) | 225,528 |
Other income (expense): | ||
Other income (loss) | 761 | (300) |
Other expense | (603,115) | (280,452) |
Total other (expenses) | (602,354) | (280,752) |
Net loss | $ (1,256,459) | $ (55,224) |
Loss per share: | ||
Basic (in dollars per share) | $ (0.02) | $ 0 |
Diluted (in dollars per share) | $ (0.02) | $ 0 |
Basic weighted average common shares outstanding (in shares) | 65,939,709 | 65,262,289 |
Diluted weighted average common shares outstanding (in shares) | 65,939,709 | 65,262,289 |
Unaudited Condensed Consolidat5
Unaudited Condensed Consolidated Statements of Comprehensive Loss - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Net loss | $ (1,256,459) | $ (55,224) |
Foreign currency translation loss | 17,630 | 4,080 |
Total other comprehensive loss | 17,630 | 4,080 |
Comprehensive loss | $ (1,238,829) | $ (51,144) |
Unaudited Condensed Consolidat6
Unaudited Condensed Consolidated Statements of Cash Flows - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Cash flows from operating activities: | ||
Net loss | $ (1,256,459) | $ (55,224) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 119,059 | 169,028 |
Amortization of deferred financing cost | 202,898 | 59,807 |
Provision for bad debt | (235,441) | 2,386 |
Fair value of options and warrants | 99,352 | 219,700 |
Loss on sale and disposal of fixed assets | 902 | |
Changes in operating assets and liabilities: | ||
Accounts receivable | 71,925 | (95,718) |
Prepaid expenses | 32,894 | (140,115) |
Accounts payable and accrued expenses | (308,112) | (860,096) |
Deferred revenues | 176,894 | 40,583 |
Other assets | (2,783) | (813) |
Net cash used in operating activities | (1,099,773) | (659,560) |
Cash flows from investing activities: | ||
Capitalized software for internal use | (375,000) | (515,454) |
Capital expenditures | (13,402) | (9,799) |
Proceeds from sale of assets | 795 | |
Net cash used in investing activities | (388,402) | (524,458) |
Cash flows from financing activities: | ||
Principal repayment of credit facility and loan | (662,058) | (486,548) |
Proceeds from credit facility | 3,771,600 | 500,000 |
Repayments of promissory notes | (1,000,000) | |
Net cash provided by financing activities | 2,109,542 | 13,452 |
Effect of exchange rate changes on cash | 17,630 | 4,080 |
Net increase (decrease) in cash | 638,997 | (1,166,486) |
Cash, beginning of period | 166,883 | 1,680,127 |
Cash, end of period | 805,880 | 513,641 |
Supplemental disclosures of cash flow information: | ||
Cash paid for interest | 373,257 | 196,590 |
Cash paid for income taxes | 0 | 0 |
Non-cash investing and financing activities: | ||
Fair value of warrants issued in connection with credit facility | 1,156,695 | |
Principal loan payments included in accounts payable | 25,000 | |
Shares issued for cashless exercise of options and warrants | 1,868 | |
Capital expenditure included in payables | 6,622 | |
Accrued payables and short-term loan directly paid off by credit facility | 623,399 | |
Prepaid expenses reclassed to deferred financing cost | $ 70,000 |
Note 1 - Organization, Descript
Note 1 - Organization, Description of Business, and Basis of Presentation | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | NOTE 1: Accelerize Inc., a Delaware corporation, incorporated on November 22, 2005, The Company provides software solutions for businesses interested in expanding their online advertising spend. These unaudited condensed consolidated financial statements reflect all adjustments including normal recurring adjustments, which, in the opinion of management, are necessary to present fairly the financial position, results of operations, and cash flows for the periods presented in accordance with accounting principles generally accepted in the United States of America, or GAAP. These unaudited condensed consolidated financial statements and notes included herein should be read in conjunction with the Company’s consolidated financial statements and notes thereto for the years ended December 31, 2017 2016, December 31, 2017 10 March 27, 2018. may three March 31, 2018 not December 31, 2018. The accompanying consolidated financial statements have been prepared on a going concern basis which implies the Company will continue to meet its obligations for the next 12 The Company had a working capital deficit of $1,804,833 $32,799,143 March 31, 2018. $1,256,459 $1,099,773. Management’s plan to continue as a going concern includes raising capital in the form of debt or equity, increased gross profit from revenue growth and managing and reducing operating and overhead costs. However, management cannot provide any assurances that the Company will be successful in accomplishing its plans. Management also cannot provide any assurance that unforeseen circumstances that could occur at any time within the next twelve not However, based upon its plans, management believes that the Company is a going concern. Principles of Consolidation The accompanying unaudited condensed consolidated financial statements include the results of operations of Cake Marketing UK Ltd., or the Subsidiary. All material intercompany accounts and transactions between the Company and its Subsidiary have been eliminated in consolidation. |
Note 2 - Summary of Significant
Note 2 - Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | NOTE 2: Use of Estimates The preparation of unaudited condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reporting amounts of revenues and expenses during the reported period. Actual results will differ from those estimates. Included in these estimates are assumptions about collection of accounts receivable, useful life of fixed assets, and assumptions used in Black-Scholes-Merton, or BSM, valuation methods, such as expected volatility, risk-free interest rate, and expected dividend rate. Cash and Cash Equivalents The Company considers all highly liquid temporary cash investments with an original maturity of three $50,000 March 31, 2018 December 31, 2017. Accounts Receivable The Company’s accounts receivable are due primarily from advertisers and marketers. Collateral is currently not may March 31, 2018 December 31, 2017 Allowance for doubtful accounts $ 235,703 $ 471,144 Concentration of Credit Risks The Company is subject to concentrations of credit risk primarily from cash and cash equivalents and accounts receivable. The Company’s cash and cash equivalents accounts are held at a financial institution and are insured by the Federal Deposit Insurance Corporation, or the FDIC, up to $250,000. three March 31, 2018, The Company's accounts receivable are due from customers, generally located in the United States, Europe, Asia, and Canada. None 10% March 31, 2018 December 31, 2017. not Revenue Recognition The Company recognizes revenue on arrangements in accordance with ASC 2014 09, 606, 605. The Company’s SaaS revenues are generated from implementation and training fees and a monthly license fee, supplemented by per transaction fees paid by customers for monthly platform usage. The initial term of the customer contract is generally one one two may 30 not third third third not Product Concentration The Company generates its revenues from software licensing, usage, and related transaction fees. Fair Value of Financial Instruments The Company accounts for assets and liabilities measured at fair value on a recurring basis in accordance with ASC Topic 820, 820. 820 ASC 820 820 Level 1: Observable inputs such as quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs for which there is little or no Additional Disclosures Regarding Fair Value Measurements The carrying value of cash and cash equivalents, accounts receivable, accounts payable, accrued expenses, and lines of credit approximate their fair value due to the short-term maturity of these items. Advertising The Company expenses advertising costs as incurred. Three-month periods ended March 31, 2018 2017 Advertising expense $ 133,548 $ 86,416 Income Taxes Income taxes are accounted for in accordance with the provisions of ASC Topic 740, no Foreign Currency Translation The Company’s reporting currency is U.S. Dollars. The functional currency of the Company’s Subsidiary in the United Kingdom is British Pounds. The translation from British Pounds to U.S. dollars is performed for asset and liability accounts using exchange rates in effect at the balance sheet date, equity accounts using historical exchange rates or rates in effect at the balance sheet date, and for revenue and expense accounts using the average exchange rate in effect during the period. The resulting translation adjustments are recorded as a component of Accumulated Other Comprehensive Income (Loss). Foreign currency translation gains and losses arising from exchange rate fluctuation on transactions denominated in a currency other than the functional currency are included in the consolidated statements of operations. Software Development Costs Costs incurred in the research and development of software products and significant upgrades and enhancements thereto during the preliminary project stage and the post-implementation operation stage are expensed as incurred. Costs incurred for maintenance and relatively minor upgrades and enhancements are expensed as incurred. Costs associated with the application development stage of new software products and significant upgrades and enhancements thereto are capitalized when 1 2 $375,000 three March 31, 2018. $4,196,000 $3,926,000 March 31, 2018 December 31, 2017, $105,000 $134,000 three March 31, 2018 2017, Share-Based Payment The Company accounts for stock-based compensation in accordance with ASC Topic 718, 718. The Company has elected to use the BSM option-pricing model to estimate the fair value of its options, which incorporates various subjective assumptions including volatility, risk-free interest rate, expected life, and dividend yield to calculate the fair value of stock option awards. Compensation expense recognized in the statements of operations is based on awards ultimately expected to vest and reflects estimated forfeitures. ASC 718 Common stock awards The Company has granted common stock awards to non-employees in exchange for services provided. The Company measures the fair value of these awards using the fair value of the services provided or the fair value of the awards granted, whichever is more reliably measurable. The fair value measurement date of these awards is generally the date the performance of services is complete. The fair value of the awards is recognized on a straight-line basis as services are rendered. The share-based payments related to common stock awards for the settlement of services provided by non-employees is recorded on the consolidated statement of comprehensive loss in the same manner and charged to the same account as if such settlements had been made in cash. Warrants In connection with certain financing, consulting and collaboration arrangements, the Company has issued warrants to purchase shares of its common stock. The outstanding warrants are standalone instruments that are not not 6, Segment Reporting The Company generated revenues from one three March 31, 2018 2017. Recent Accounting Pronouncements In January 2017, 2017 04, 350 2017 04 December 15, 2019. January 1, 2017. In January 2016, No. 2016‑01, Financial Instruments — Overall: Recognition and Measurement of Financial Assets and Financial Liabilities. first 2019. In February 2016, 2016 02, Leases (Topic 842 ) January 2017. December 15, 2018, In January 2017, No. 2017 01, 805 not not not no In November 2016, No. 2016 18, Statement of Cash Flows (Topic 230 ): Restricted Cash December 15, 2017. January 1, 2018, no In May 2017, 2017 09, Compensation - Stock Compensation (Topic 718 : Scope of Modification Accounting 2016 09 718. December 15, 2017. January 1, 2018 no Other accounting pronouncements have been issued but deemed by management to be outside the scope of relevance to the Company. Basic and Diluted Earnings Per Share Basic earnings per share are calculated by dividing income available to stockholders by the weighted-average number of common shares outstanding during each period. Diluted earnings per share are computed using the weighted average number of common and dilutive common share equivalents outstanding during the period. Dilutive common share equivalents consist of shares issuable upon the exercise of stock options and warrants (calculated using the modified-treasury stock method). Three-month periods ended March 31, 2018 2017 Numerator: Net loss $ (1,256,459 ) $ (55,224 ) Denominator: Denominator for basic earnings per share-weighted average shares 65,939,709 65,262,289 Effect of dilutive securities-when applicable: Stock options - - Warrants - - Denominator for diluted earnings per share-adjusted weighted-average shares and assumed conversions 65,939,709 65,262,289 Loss per share: Basic $ (0.02 ) $ (0.00 ) Diluted $ (0.02 ) $ (0.00 ) Weighted-average anti-dilutive common share equivalents 23,063,359 16,275,714 Property and Equipment Property and equipment are recorded at cost and are depreciated on a straight-line basis over their estimated useful lives of three Property and equipment consist of the following at: March 31, 2018 December 31, 2017 Computer equipment and software $ 450,858 $ 431,497 Office furniture and equipment 130,205 120,420 Leasehold improvements 295,169 292,640 Total (1) 876,232 844,557 Accumulated depreciation (2) (794,189 ) (775,152 ) Total 82,043 69,405 (1) Includes (11,651) in foreign exchange translation (2) Includes 4,977 in foreign exchange translation Intangible assets 6,812,726 6,437,726 Accumulated amortization (2,617,203 ) (2,512,203 ) Total $ 4,195,523 $ 3,925,523 Three-month periods ended March 31, 2018 2017 Depreciation expense $ 14,059 $ 35,455 Amortization expense on internal software $ 105,000 $ 133,573 During the three March 31, 2017, $7,500 $1,700 $800. no 2018. |
Note 3 - Prepaid Expenses
Note 3 - Prepaid Expenses | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Other Assets Disclosure [Text Block] | NOTE 3: At March 31, 2018 December 31, 2017, |
Note 4 - Deferred Revenues
Note 4 - Deferred Revenues | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Deferred Revenue Disclosure [Text Block] | NOTE 4: The Company’s deferred revenues consist of prepayments made by certain of the Company’s customers and undelivered implementation and training fees. The Company decreases the deferred revenues by the amount of the services it renders to such clients when provided. March 31, 2018 December 31, 2017 Deferred revenues $ 476,831 $ 299,937 |
Note 5 - Credit Facility and Lo
Note 5 - Credit Facility and Loan | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | NOTE 5: FACILITY AND LOAN Agility Loan March 31, 2018 December 31, 2017 Agility Loan 625,000 625,000 Amendment, added to balance 400,000 400,000 Principal Payment of Agility Loan (450,000 ) (425,000 ) Less Loan repayment (575,000 ) - Less: Deferred financing cost - - $ - $ 600,000 On March 11, 2016, $625,000 March 31, 2017. 12% $25,000 June 1, 2016. $130,000 $50,000 December 31, 2017, second In connection with the Agility Loan, on June 30, 2016, 69,444 $0.45 March 11, 2021. $15,880 $0 $3,970 three March 31, 2018 2017, On November 29, 2016, $100,000, December 31, 2017. November 29, 2016, 187,500 $0.40 November 29, 2021. $42,427 $0 $9,791 three March 31, 2018 2017, On August 14, 2017, On November 8, 2017, $300,000 November 9, 2017 $625,000. December 31, 2017 December 31, 2018. $125,000 470 50 470 50” 10% $606,034 $106,034 $625,000 not On January 26, 2018, $581,000 $0 $600,000 March 31, 2018 December 31, 2017, Credit Facility - SaaS Capital Loan March 31, 2018 December 31, 2017 SaaS Capital Loan, Total advances $ 9,903,000 $ 9,903,000 Principal Payment of SaaS Capital Loan (2,860,674 ) (2,198,616 ) Less: Deferred financing cost (253,214 ) (245,584 ) Less: SaaS Capital Loan, short term (1) (3,243,367 ) (3,055,812 ) $ 3,545,744 $ 4,402,988 ( 1 Short-term portion constitutes scheduled amortization payments for the next 12 On May 5, 2016, $8,000,000. 10.25% 10.25% 9.21% three first six 36 10%, 6% 3% 12 12 24 24 may May 5, 2018. $5,000,000, May 5, 2016, $4,572,223. $80,000 $80,000 May 5, 2017. The SaaS Capital Loan contains customary covenants including, but not March 31, 2018, On May 5, 2016, 1,333,333 $0.45 May 5, 2026, 5 first $169,000 September 30, 2016. $383,128 $31,927 three March 31, 2018 2017. On November 29, 2016, $120,000, $10,000 one 200,000 $0.36 November 29, 2026. $60,185 December 31, 2016. On May 10, 2017, second $0 $150,000 August 31, 2017 On June 16, 2017, third 6 36 On August 14, 2017, fourth On November 8, 2017, fifth $0 $170,000 October 31, 2017, $150,000 November 1, 2017 December 31, 2017, $100,000 January 1, 2018 May 31, 2018, $50,000 June 1, 2018 August 31, 2018, $0 $600,000 January 31, 2018. September 2017. $375,000 On January 25, 2018, sixth 470 50 470 50” 10% 200,000 $0.35 $56,834 $3,157 $0 three March 31, 2018 2017, During the three March 31, 2018, $0 $662,058. The Company owed $7,042,326 $7,704,384 March 31, 2018 December 31, 2017, Promissory Notes March 31, 2018 December 31, 2017 Promissory Notes, Total $ 1,000,000 $ 1,000,000 Principal Payment of Promissory Notes (1,000,000 ) - Promissory Notes, Outstanding balance - 1,000,000 Less: Deferred financing cost - (82,868 ) Less: Promissory Notes, short term - (649,194 ) $ - $ 267,938 On August 14, 2017, $1,000,000 seven one two August 14, 2019 12% three 1,000,000 $0.35 $104,676 $82,868 $0 three March 31, 2018 2017, On January 26, 2018, $1,074,000 $65,000 $0 $1,000,000 March 31, 2018 December 31, 2017 Beedie Credit Agreement On January 25, 2018, $7,000,000. 12% 14% $175,000 0.325% may July 25, 2020 January 25, 2021. 24 January 25, 2020. $4,500,000 January 26, 2018. $581,000 March 11, 2016, $1,074,000 August 14, 2017. $175,000 $9,722 $0 three March 31, 2018 2017, The Beedie Credit Agreement contains customary covenants including, but not 18% In connection with the Beedie Credit Agreement, the Company issued to Beedie a warrant, or the Beedie Warrant, to purchase up to 4,500,000 $0.35 January 26, 2019. 2,500,000 2017 11 815 10 15 74 $1,099,861 $61,103 $0 three March 31, 2018 2017, The Company recognized amortization and interest expenses in connection with the credit facility and loans as follows. Three-month periods ended March 31, 2018 2017 Amortization expense associated with the credit facility and loan $ 202,898 $ 59,807 Interest expense associated with the credit facility and loan $ 373,257 $ 196,590 Other finance fees associated with the credit facility and loan $ 28,655 $ 24,125 |
Note 6 - Stockholders' Deficit
Note 6 - Stockholders' Deficit | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | NOTE 6: Common Stock There were no three March 31, 2018. three March 31, 2017, 1,707,692 2,400,000 As of March 31, 2018, December 31, 2017, 65,939,709 Restricted Stock During 2017 2016, 120,000 $0.50 4 July 1, 2017 July 1, 2016, March 31, 2018 2017, $30,000 three March 31, 2018 2017. $30,000 March 31, 2018 2017. Warrants There were no three March 31, 2018. three March 31, 2017, 160,096 225,000 During the three March 31, 2018, 200,000 4,500,000 $0.35 January 25, 2028 January 25, 2024, $56,834 $1,099,861, 58,824 During the three March 31, 2017, no 46,875 As of March 31, 2018, December 31, 2017, 16,110,517 11,469,341 $0.62 $0.74, The Company recorded expenses of $61,050 $125,867 three March 31, 2018 2017, Options The Company generally recognizes its share-based payment over the vesting terms of the underlying options. Three-month periods ended March 31, 2018 2017 Weighted-average grant date fair value $ 0.40 $ 0.43 Fair value of options, recognized as selling, general, and administrative expenses $ 8,303 $ 63,832 Number of options granted - - Number of options expired or forfeited (45,000 ) (257,500 ) As of March 31, 2018 December 31, 2017, 8,257,500 8,302,500 $0.40. The total compensation cost related to non-vested awards not $35,382 March 31, 2018 30 |
Note 7 - Comprehensive Loss
Note 7 - Comprehensive Loss | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Comprehensive Income (Loss) Note [Text Block] | NOTE 7: Comprehensive loss includes changes in equity related to foreign currency translation adjustments. The following table sets forth the reconciliation from net loss to comprehensive loss for the three March 31, 2018 2017: Three-month periods ended March 31, 2018 2017 Net loss $ (1,256,459 ) $ (55,224 ) Other comprehensive loss: Foreign currency translation adjustment 17,630 4,080 Comprehensive loss $ (1,238,829 ) $ (51,144 ) The following table sets forth the balance in accumulated other comprehensive loss as of March 31, 2018 December 31, 2017, March 31, 2018 December 31, 2017 Accumulated other comprehensive loss $ (23,910 ) $ (41,540 ) |
Note 8 - Segments
Note 8 - Segments | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | NOTE 8: The Company operates in one three March 31, 2018 2017 Three-month periods ended March 31, 2018 2017 United States 60 % 59 % Europe 20 % 21 % Other 20 % 20 % |
Note 9 - Commitments and Contin
Note 9 - Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | NOTE 9: During August 2017, January 2014 March 1, 2018, 1,332 11,728 June 30, 2023. March 1, 2018, $38,702 first $44,566 During October 2016, May 2014 21 June 1, 2016. $4,100 February 2018. March 31, 2018, During July 2014, five July 30, 2014. 89,667 $115,000 45,658 $56,000 Legal Proceedings From time to time, the Company may not On November 29, 2016, September 8, 2014. 1,890,000 $2,700,000. $1,000,000 January 18, 2017, $500,000. $1,700,000 48 July 1, 2017. 6,600,000 $0.15 $0.31 1,890,000 3%. 2016, $2,200,000, $500,000, December 2016. $1,381,250 March 31, 2018 $425,000 $956,250 |
Note 10 - Subsequent Events
Note 10 - Subsequent Events | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | NOTE 10: On May 11, 2018, five 500,000 $0.50 3 July 1, 2018, may |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Policies [Abstract] | |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of unaudited condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reporting amounts of revenues and expenses during the reported period. Actual results will differ from those estimates. Included in these estimates are assumptions about collection of accounts receivable, useful life of fixed assets, and assumptions used in Black-Scholes-Merton, or BSM, valuation methods, such as expected volatility, risk-free interest rate, and expected dividend rate. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents The Company considers all highly liquid temporary cash investments with an original maturity of three $50,000 March 31, 2018 December 31, 2017. |
Receivables, Policy [Policy Text Block] | Accounts Receivable The Company’s accounts receivable are due primarily from advertisers and marketers. Collateral is currently not may March 31, 2018 December 31, 2017 Allowance for doubtful accounts $ 235,703 $ 471,144 |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentration of Credit Risks The Company is subject to concentrations of credit risk primarily from cash and cash equivalents and accounts receivable. The Company’s cash and cash equivalents accounts are held at a financial institution and are insured by the Federal Deposit Insurance Corporation, or the FDIC, up to $250,000. three March 31, 2018, The Company's accounts receivable are due from customers, generally located in the United States, Europe, Asia, and Canada. None 10% March 31, 2018 December 31, 2017. not |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition The Company recognizes revenue on arrangements in accordance with ASC 2014 09, 606, 605. The Company’s SaaS revenues are generated from implementation and training fees and a monthly license fee, supplemented by per transaction fees paid by customers for monthly platform usage. The initial term of the customer contract is generally one one two may 30 not third third third not |
Product Concentration Policy [Policy Text Block] | Product Concentration The Company generates its revenues from software licensing, usage, and related transaction fees. |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Fair Value of Financial Instruments The Company accounts for assets and liabilities measured at fair value on a recurring basis in accordance with ASC Topic 820, 820. 820 ASC 820 820 Level 1: Observable inputs such as quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs for which there is little or no Additional Disclosures Regarding Fair Value Measurements The carrying value of cash and cash equivalents, accounts receivable, accounts payable, accrued expenses, and lines of credit approximate their fair value due to the short-term maturity of these items. |
Advertising Cost, Policy, Expensed Advertising Cost [Policy Text Block] | Advertising The Company expenses advertising costs as incurred. Three-month periods ended March 31, 2018 2017 Advertising expense $ 133,548 $ 86,416 |
Income Tax, Policy [Policy Text Block] | Income Taxes Income taxes are accounted for in accordance with the provisions of ASC Topic 740, no |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign Currency Translation The Company’s reporting currency is U.S. Dollars. The functional currency of the Company’s Subsidiary in the United Kingdom is British Pounds. The translation from British Pounds to U.S. dollars is performed for asset and liability accounts using exchange rates in effect at the balance sheet date, equity accounts using historical exchange rates or rates in effect at the balance sheet date, and for revenue and expense accounts using the average exchange rate in effect during the period. The resulting translation adjustments are recorded as a component of Accumulated Other Comprehensive Income (Loss). Foreign currency translation gains and losses arising from exchange rate fluctuation on transactions denominated in a currency other than the functional currency are included in the consolidated statements of operations. |
Research, Development, and Computer Software, Policy [Policy Text Block] | Software Development Costs Costs incurred in the research and development of software products and significant upgrades and enhancements thereto during the preliminary project stage and the post-implementation operation stage are expensed as incurred. Costs incurred for maintenance and relatively minor upgrades and enhancements are expensed as incurred. Costs associated with the application development stage of new software products and significant upgrades and enhancements thereto are capitalized when 1 2 $375,000 three March 31, 2018. $4,196,000 $3,926,000 March 31, 2018 December 31, 2017, $105,000 $134,000 three March 31, 2018 2017, |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Share-Based Payment The Company accounts for stock-based compensation in accordance with ASC Topic 718, 718. The Company has elected to use the BSM option-pricing model to estimate the fair value of its options, which incorporates various subjective assumptions including volatility, risk-free interest rate, expected life, and dividend yield to calculate the fair value of stock option awards. Compensation expense recognized in the statements of operations is based on awards ultimately expected to vest and reflects estimated forfeitures. ASC 718 Common stock awards The Company has granted common stock awards to non-employees in exchange for services provided. The Company measures the fair value of these awards using the fair value of the services provided or the fair value of the awards granted, whichever is more reliably measurable. The fair value measurement date of these awards is generally the date the performance of services is complete. The fair value of the awards is recognized on a straight-line basis as services are rendered. The share-based payments related to common stock awards for the settlement of services provided by non-employees is recorded on the consolidated statement of comprehensive loss in the same manner and charged to the same account as if such settlements had been made in cash. Warrants In connection with certain financing, consulting and collaboration arrangements, the Company has issued warrants to purchase shares of its common stock. The outstanding warrants are standalone instruments that are not not 6, |
Segment Reporting, Policy [Policy Text Block] | Segment Reporting The Company generated revenues from one three March 31, 2018 2017. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements In January 2017, 2017 04, 350 2017 04 December 15, 2019. January 1, 2017. In January 2016, No. 2016‑01, Financial Instruments — Overall: Recognition and Measurement of Financial Assets and Financial Liabilities. first 2019. In February 2016, 2016 02, Leases (Topic 842 ) January 2017. December 15, 2018, In January 2017, No. 2017 01, 805 not not not no In November 2016, No. 2016 18, Statement of Cash Flows (Topic 230 ): Restricted Cash December 15, 2017. January 1, 2018, no In May 2017, 2017 09, Compensation - Stock Compensation (Topic 718 : Scope of Modification Accounting 2016 09 718. December 15, 2017. January 1, 2018 no Other accounting pronouncements have been issued but deemed by management to be outside the scope of relevance to the Company. |
Earnings Per Share, Policy [Policy Text Block] | Basic and Diluted Earnings Per Share Basic earnings per share are calculated by dividing income available to stockholders by the weighted-average number of common shares outstanding during each period. Diluted earnings per share are computed using the weighted average number of common and dilutive common share equivalents outstanding during the period. Dilutive common share equivalents consist of shares issuable upon the exercise of stock options and warrants (calculated using the modified-treasury stock method). Three-month periods ended March 31, 2018 2017 Numerator: Net loss $ (1,256,459 ) $ (55,224 ) Denominator: Denominator for basic earnings per share-weighted average shares 65,939,709 65,262,289 Effect of dilutive securities-when applicable: Stock options - - Warrants - - Denominator for diluted earnings per share-adjusted weighted-average shares and assumed conversions 65,939,709 65,262,289 Loss per share: Basic $ (0.02 ) $ (0.00 ) Diluted $ (0.02 ) $ (0.00 ) Weighted-average anti-dilutive common share equivalents 23,063,359 16,275,714 |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment Property and equipment are recorded at cost and are depreciated on a straight-line basis over their estimated useful lives of three Property and equipment consist of the following at: March 31, 2018 December 31, 2017 Computer equipment and software $ 450,858 $ 431,497 Office furniture and equipment 130,205 120,420 Leasehold improvements 295,169 292,640 Total (1) 876,232 844,557 Accumulated depreciation (2) (794,189 ) (775,152 ) Total 82,043 69,405 (1) Includes (11,651) in foreign exchange translation (2) Includes 4,977 in foreign exchange translation Intangible assets 6,812,726 6,437,726 Accumulated amortization (2,617,203 ) (2,512,203 ) Total $ 4,195,523 $ 3,925,523 Three-month periods ended March 31, 2018 2017 Depreciation expense $ 14,059 $ 35,455 Amortization expense on internal software $ 105,000 $ 133,573 During the three March 31, 2017, $7,500 $1,700 $800. no 2018. |
Note 2 - Summary of Significa18
Note 2 - Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | March 31, 2018 December 31, 2017 Allowance for doubtful accounts $ 235,703 $ 471,144 |
Schedule of Advertising Expense [Table Text Block] | Three-month periods ended March 31, 2018 2017 Advertising expense $ 133,548 $ 86,416 |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three-month periods ended March 31, 2018 2017 Numerator: Net loss $ (1,256,459 ) $ (55,224 ) Denominator: Denominator for basic earnings per share-weighted average shares 65,939,709 65,262,289 Effect of dilutive securities-when applicable: Stock options - - Warrants - - Denominator for diluted earnings per share-adjusted weighted-average shares and assumed conversions 65,939,709 65,262,289 Loss per share: Basic $ (0.02 ) $ (0.00 ) Diluted $ (0.02 ) $ (0.00 ) Weighted-average anti-dilutive common share equivalents 23,063,359 16,275,714 |
Property, Plant and Equipment [Table Text Block] | March 31, 2018 December 31, 2017 Computer equipment and software $ 450,858 $ 431,497 Office furniture and equipment 130,205 120,420 Leasehold improvements 295,169 292,640 Total (1) 876,232 844,557 Accumulated depreciation (2) (794,189 ) (775,152 ) Total 82,043 69,405 (1) Includes (11,651) in foreign exchange translation (2) Includes 4,977 in foreign exchange translation Intangible assets 6,812,726 6,437,726 Accumulated amortization (2,617,203 ) (2,512,203 ) Total $ 4,195,523 $ 3,925,523 |
Depreciation Expense [Member] | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | Three-month periods ended March 31, 2018 2017 Depreciation expense $ 14,059 $ 35,455 Amortization expense on internal software $ 105,000 $ 133,573 |
Note 4 - Deferred Revenues (Tab
Note 4 - Deferred Revenues (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Deferred Revenue, by Arrangement, Disclosure [Table Text Block] | March 31, 2018 December 31, 2017 Deferred revenues $ 476,831 $ 299,937 |
Note 5 - Credit Facility and 20
Note 5 - Credit Facility and Loan (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Schedule of Debt [Table Text Block] | March 31, 2018 December 31, 2017 Agility Loan 625,000 625,000 Amendment, added to balance 400,000 400,000 Principal Payment of Agility Loan (450,000 ) (425,000 ) Less Loan repayment (575,000 ) - Less: Deferred financing cost - - $ - $ 600,000 March 31, 2018 December 31, 2017 SaaS Capital Loan, Total advances $ 9,903,000 $ 9,903,000 Principal Payment of SaaS Capital Loan (2,860,674 ) (2,198,616 ) Less: Deferred financing cost (253,214 ) (245,584 ) Less: SaaS Capital Loan, short term (1) (3,243,367 ) (3,055,812 ) $ 3,545,744 $ 4,402,988 March 31, 2018 December 31, 2017 Promissory Notes, Total $ 1,000,000 $ 1,000,000 Principal Payment of Promissory Notes (1,000,000 ) - Promissory Notes, Outstanding balance - 1,000,000 Less: Deferred financing cost - (82,868 ) Less: Promissory Notes, short term - (649,194 ) $ - $ 267,938 |
Schedule of Interest and Amortization Expense Line of Credit [Table Text Block] | Three-month periods ended March 31, 2018 2017 Amortization expense associated with the credit facility and loan $ 202,898 $ 59,807 Interest expense associated with the credit facility and loan $ 373,257 $ 196,590 Other finance fees associated with the credit facility and loan $ 28,655 $ 24,125 |
Note 6 - Stockholders' Deficit
Note 6 - Stockholders' Deficit (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Share-based Compensation, Activity [Table Text Block] | Three-month periods ended March 31, 2018 2017 Weighted-average grant date fair value $ 0.40 $ 0.43 Fair value of options, recognized as selling, general, and administrative expenses $ 8,303 $ 63,832 Number of options granted - - Number of options expired or forfeited (45,000 ) (257,500 ) |
Note 7 - Comprehensive Loss (Ta
Note 7 - Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Comprehensive Income (Loss) [Table Text Block] | Three-month periods ended March 31, 2018 2017 Net loss $ (1,256,459 ) $ (55,224 ) Other comprehensive loss: Foreign currency translation adjustment 17,630 4,080 Comprehensive loss $ (1,238,829 ) $ (51,144 ) |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | March 31, 2018 December 31, 2017 Accumulated other comprehensive loss $ (23,910 ) $ (41,540 ) |
Note 8 - Segments (Tables)
Note 8 - Segments (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block] | Three-month periods ended March 31, 2018 2017 United States 60 % 59 % Europe 20 % 21 % Other 20 % 20 % |
Note 1 - Organization, Descri24
Note 1 - Organization, Description of Business, and Basis of Presentation (Details Textual) - USD ($) | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Working Capital (Deficit) | $ (1,804,833) | ||
Retained Earnings (Accumulated Deficit), Ending Balance | (32,799,143) | $ (31,542,684) | |
Net Income (Loss) Attributable to Parent, Total | (1,256,459) | $ (55,224) | |
Net Cash Provided by (Used in) Operating Activities, Total | $ (1,099,773) | $ (659,560) |
Note 2 - Summary of Significa25
Note 2 - Summary of Significant Accounting Policies (Details Textual) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2017USD ($) | |
Restricted Cash and Cash Equivalents, Current, Total | $ 50,000 | $ 50,000 | |
Cash, FDIC Insured Amount | 250,000 | ||
Payments to Develop Software | 375,000 | $ 515,454 | |
Capitalized Computer Software, Net, Ending Balance | 4,196,000 | $ 3,926,000 | |
Capitalized Computer Software, Amortization | $ 105,000 | $ 133,573 | |
Number of Reportable Segments | 1 | 1 | |
Property, Plant and Equipment, Useful Life | 3 years | ||
Property, Plant and Equipment, Disposals | $ 0 | ||
Proceeds from Sale of Productive Assets, Total | $ 795 | ||
Computer Equipment [Member] | |||
Property, Plant and Equipment, Disposals | 7,500 | ||
Property, Equipment and Equipment, Net, Disposals | 1,700 | ||
Proceeds from Sale of Productive Assets, Total | $ 800 | ||
Customer Concentration Risk [Member] | Accounts Receivable [Member] | |||
Concentration Risk, Percentage | 0.00% | 0.00% |
Note 2 - Summary of Significa26
Note 2 - Summary of Significant Accounting Policies - Accounts Receivable (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Allowance for doubtful accounts | $ 235,703 | $ 471,144 |
Note 2 - Summary of Significa27
Note 2 - Summary of Significant Accounting Policies - Advertising Costs (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Advertising expense | $ 133,548 | $ 86,416 |
Note 2 - Summary of Significa28
Note 2 - Summary of Significant Accounting Policies - Basic and Diluted Earnings Per Share (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Numerator: | ||
Net loss | $ (1,256,459) | $ (55,224) |
Denominator: | ||
Denominator for basic earnings per share-weighted average shares (in shares) | 65,939,709 | 65,262,289 |
Effect of dilutive securities-when applicable: | ||
Denominator for diluted earnings per share-adjusted weighted-average shares and assumed conversions (in shares) | 65,939,709 | 65,262,289 |
Loss per share: | ||
Basic (in dollars per share) | $ (0.02) | $ 0 |
Diluted (in dollars per share) | $ (0.02) | $ 0 |
Weighted-average anti-dilutive common share equivalents (in shares) | 23,063,359 | 16,275,714 |
Employee Stock Option [Member] | ||
Effect of dilutive securities-when applicable: | ||
Effect of dilutive securities (in shares) | ||
Warrant [Member] | ||
Effect of dilutive securities-when applicable: | ||
Effect of dilutive securities (in shares) |
Note 2 - Summary of Significa29
Note 2 - Summary of Significant Accounting Policies - Property and Equipment (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 | |
Computer equipment and software | [1] | $ 876,232 | $ 844,557 |
Accumulated depreciation (2) | [2] | (794,189) | (775,152) |
Total | 82,043 | 69,405 | |
Intangible assets | 6,812,726 | 6,437,726 | |
Accumulated amortization | (2,617,203) | (2,512,203) | |
Total | 4,195,523 | 3,925,523 | |
Software Development [Member] | |||
Computer equipment and software | 450,858 | 431,497 | |
Furniture and Fixtures [Member] | |||
Computer equipment and software | 130,205 | 120,420 | |
Leasehold Improvements [Member] | |||
Computer equipment and software | $ 295,169 | $ 292,640 | |
[1] | Includes (11,651) in foreign exchange translation | ||
[2] | Includes 4,977 in foreign exchange translation |
Note 2 - Summary of Significa30
Note 2 - Summary of Significant Accounting Policies - Property and Equipment (Details) (Parentheticals) | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Foreign exchange translation | $ (11,651) |
Foreign exchange translation | $ 4,977 |
Note 2 - Summary of Significa31
Note 2 - Summary of Significant Accounting Policies - Property and Equipment, Depreciation Expense (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Depreciation expense | $ 14,059 | $ 35,455 |
Amortization expense on internal software | $ 105,000 | $ 133,573 |
Note 4 - Deferred Revenues - De
Note 4 - Deferred Revenues - Deferred Revenues (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Deferred revenues | $ 476,831 | $ 299,937 |
Note 5 - Credit Facility and 33
Note 5 - Credit Facility and Loan (Details Textual) - USD ($) | Sep. 01, 2018 | Jan. 26, 2018 | Jan. 25, 2018 | Nov. 08, 2017 | Oct. 31, 2017 | Oct. 30, 2017 | Aug. 14, 2017 | May 10, 2017 | May 09, 2017 | Nov. 29, 2016 | May 05, 2016 | Mar. 11, 2016 | May 31, 2017 | Dec. 31, 2017 | Aug. 31, 2018 | Mar. 31, 2018 | Mar. 31, 2017 | May 31, 2018 | Sep. 30, 2016 | Dec. 13, 2017 | Jan. 31, 2018 | Nov. 09, 2017 | Dec. 31, 2016 | Jun. 30, 2016 |
Subordinated Debt, Ending Balance | $ 625,000 | |||||||||||||||||||||||
Repayments of Notes Payable | $ 1,000,000 | |||||||||||||||||||||||
Interest Paid, Excluding Capitalized Interest, Operating Activities | 373,257 | 196,590 | ||||||||||||||||||||||
Amortization of Debt Issuance Costs | 202,898 | 59,807 | ||||||||||||||||||||||
Beedie Credit Agreement [Member] | Beedie Investments Limited [Member] | ||||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 12.00% | |||||||||||||||||||||||
Debt Instrument, Fee Amount | $ 175,000 | |||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 7,000,000 | |||||||||||||||||||||||
Proceeds from Long-term Lines of Credit | $ 4,500,000 | |||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage, If Gross Margin Falls Below Specified Amount | 14.00% | |||||||||||||||||||||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.325% | |||||||||||||||||||||||
Debt Instrument, Accrued Interest Fee, Period | 2 years | |||||||||||||||||||||||
Amortization of Debt Issuance Costs | 9,722 | 0 | ||||||||||||||||||||||
Debt Instrument, Debt Default, Interest Rate, Percentage | 18.00% | |||||||||||||||||||||||
SaaS Captial Loan [Member] | ||||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.25% | |||||||||||||||||||||||
Debt Instrument, Fee Amount | $ 375,000 | |||||||||||||||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 200,000 | |||||||||||||||||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.36 | |||||||||||||||||||||||
Warrants and Rights Outstanding | $ 383,128 | $ 60,185 | ||||||||||||||||||||||
Amortization of Debt Discount (Premium) | 31,927 | 31,927 | ||||||||||||||||||||||
Long-term Debt, Gross | $ 7,704,384 | 7,042,326 | ||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 8,000,000 | |||||||||||||||||||||||
Debt Instrument, Reference Rate | 9.21% | |||||||||||||||||||||||
Prepayment Fee, Percentage Period One | 10.00% | |||||||||||||||||||||||
Prepayment Fee, Percentage, Period Two | 6.00% | |||||||||||||||||||||||
Prepayment Fee, Percentage, Period Three | 3.00% | |||||||||||||||||||||||
Proceeds from Long-term Lines of Credit | $ 5,000,000 | |||||||||||||||||||||||
Repayments of Long-term Lines of Credit | 4,572,223 | |||||||||||||||||||||||
Line of Credit Facility, Commitment Fee Amount | $ 80,000 | $ 80,000 | ||||||||||||||||||||||
Payments of Financing Costs, Total | $ 169,000 | |||||||||||||||||||||||
Debt Instrument, Minimum Adjusted EBITDA | $ (170,000) | $ 0 | $ (150,000) | $ 0 | (150,000) | |||||||||||||||||||
Debt Instrument, Minimum Liquidity Covenant for Cash Balance | $ 600,000 | |||||||||||||||||||||||
Proceeds from Issuance of Subordinated Long-term Debt | 0 | |||||||||||||||||||||||
Repayments of Subordinated Debt, Total | 662,058 | |||||||||||||||||||||||
SaaS Captial Loan [Member] | Scenario, Forecast [Member] | ||||||||||||||||||||||||
Debt Instrument, Minimum Adjusted EBITDA | $ 0 | $ (50,000) | $ (100,000) | |||||||||||||||||||||
SaaS Captial Loan [Member] | Loan Modification [Member] | ||||||||||||||||||||||||
Debt Instrument, Periodic Payment, Total | $ 10,000 | |||||||||||||||||||||||
Debt Instrument, Fee Amount | 120,000 | |||||||||||||||||||||||
Agility Loan Warrants [Member] | ||||||||||||||||||||||||
Debt Instrument, Fee Amount | $ 100,000 | |||||||||||||||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 187,500 | 69,444 | ||||||||||||||||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.40 | $ 0.45 | ||||||||||||||||||||||
Warrants and Rights Outstanding | $ 42,427 | $ 15,880 | ||||||||||||||||||||||
Amortization of Debt Discount (Premium) | 0 | 3,970 | ||||||||||||||||||||||
Agility Loan Warrants 2 [Member] | ||||||||||||||||||||||||
Amortization of Debt Discount (Premium) | 0 | 9,791 | ||||||||||||||||||||||
SaaS Warrants [Member] | ||||||||||||||||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 200,000 | 1,333,333 | ||||||||||||||||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.35 | $ 0.45 | ||||||||||||||||||||||
Warrants and Rights Outstanding | $ 56,834 | |||||||||||||||||||||||
Amortization of Debt Discount (Premium) | 3,157 | 0 | ||||||||||||||||||||||
Beedie Warrant [Member] | ||||||||||||||||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 4,500,000 | |||||||||||||||||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.35 | |||||||||||||||||||||||
Warrants and Rights Outstanding | 1,099,861 | |||||||||||||||||||||||
Amortization of Debt Issuance Costs | 61,103 | 0 | ||||||||||||||||||||||
Class of Warrant or Right, Number of Additional Securities Called by Warrants or Rights | 2,500,000 | |||||||||||||||||||||||
Subordinated Debt [Member] | ||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 625,000 | 625,000 | $ 625,000 | |||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 12.00% | |||||||||||||||||||||||
Debt Instrument, Periodic Payment, Total | $ 25,000 | |||||||||||||||||||||||
Debt Instrument, Fee Amount | 125,000 | 130,000 | 400,000 | 400,000 | ||||||||||||||||||||
Debt Instrument, Minimum Aggregate Interest in the Event of Prepayment | $ 50,000 | |||||||||||||||||||||||
Proceeds from Issuance of Long-term Debt, Total | 300,000 | |||||||||||||||||||||||
Long-term Debt, Fair Value | 606,034 | |||||||||||||||||||||||
Gain (Loss) on Extinguishment of Debt, Total | $ (106,034) | |||||||||||||||||||||||
Repayments of Long-term Debt, Total | 581,000 | |||||||||||||||||||||||
Long-term Debt, Gross | 600,000 | 0 | ||||||||||||||||||||||
Repayments of Subordinated Debt, Total | 575,000 | |||||||||||||||||||||||
Notes Payable, Other Payables [Member] | ||||||||||||||||||||||||
Debt Instrument, Face Amount | 1,000,000 | 1,000,000 | ||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 12.00% | |||||||||||||||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 1,000,000 | |||||||||||||||||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.35 | |||||||||||||||||||||||
Warrants and Rights Outstanding | 104,676 | |||||||||||||||||||||||
Amortization of Debt Discount (Premium) | 82,868 | $ 0 | ||||||||||||||||||||||
Long-term Debt, Gross | $ 1,000,000 | $ 0 | ||||||||||||||||||||||
Proceeds from Notes Payable, Total | $ 1,000,000 | |||||||||||||||||||||||
Derivative, Term of Contract | 3 years | |||||||||||||||||||||||
Repayments of Notes Payable | 1,074,000 | |||||||||||||||||||||||
Interest Paid, Excluding Capitalized Interest, Operating Activities | $ 65,000 |
Note 5 - Credit Facility and 34
Note 5 - Credit Facility and Loan - Line of Credit and Loans (Details) - USD ($) | 3 Months Ended | 11 Months Ended | 12 Months Ended | ||
Mar. 31, 2018 | Dec. 13, 2017 | Dec. 31, 2017 | Nov. 08, 2017 | Mar. 11, 2016 | |
Subordinated Debt [Member] | |||||
Loans | $ 625,000 | $ 625,000 | $ 625,000 | ||
Amendment, added to balance | 400,000 | 400,000 | $ 125,000 | $ 130,000 | |
Principal Payment | (450,000) | (425,000) | |||
Less Loan repayment | (575,000) | ||||
Less: Deferred financing cost | |||||
$ 600,000 | |||||
Outstanding balance | 0 | $ 600,000 | |||
SaaS Captial Loan [Member] | |||||
Loans | 9,903,000 | 9,903,000 | |||
Principal Payment | (2,860,674) | (2,198,616) | |||
Less: Deferred financing cost | (253,214) | (245,584) | |||
3,545,744 | 4,402,988 | ||||
Less: short term | (3,243,367) | (3,055,812) | |||
Notes Payable, Other Payables [Member] | |||||
Loans | 1,000,000 | 1,000,000 | |||
Principal Payment | (1,000,000) | ||||
Less: Deferred financing cost | (82,868) | ||||
267,938 | |||||
Less: short term | (649,194) | ||||
Outstanding balance | $ 0 | $ 1,000,000 |
Note 5 - Credit Facility and 35
Note 5 - Credit Facility and Loan - Estimated Future Amortization Expense (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Amortization expense associated with the credit facility and loan | $ 202,898 | $ 59,807 |
Interest expense associated with the credit facility and loan | 373,257 | 196,590 |
Other finance fees associated with the credit facility and loan | $ 28,655 | $ 24,125 |
Note 6 - Stockholders' Defici36
Note 6 - Stockholders' Deficit (Details Textual) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2018USD ($)$ / sharesshares | Mar. 31, 2017USD ($)shares | Dec. 31, 2017$ / sharesshares | Dec. 31, 2016$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 0 | 2,400,000 | ||
Stock Issued During Period, Shares, Stock Options Exercised, Noncash | 1,707,692 | |||
Common Stock, Shares, Issued, Total | 65,939,709 | 65,939,709 | ||
Stock Issued During Period, Shares, Warrants Exercised, Noncash | 160,096 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance | 8,257,500 | 8,302,500 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price, Ending Balance | $ / shares | $ 0.40 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Total | $ | $ 35,382 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 2 years 180 days | |||
Common Stock, Shares, Outstanding, Ending Balance | 65,939,709 | 65,939,709 | ||
Warrants Expiring on January 25, 2028 [Member] | ||||
Class of Warrant or Right, Issued During Period | 200,000 | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 0.35 | |||
Warrants and Rights Outstanding | $ | $ 56,834 | |||
Warrants Expiring on January 25, 2024 [Member] | ||||
Class of Warrant or Right, Issued During Period | 4,500,000 | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 0.35 | |||
Warrants and Rights Outstanding | $ | $ 1,099,861 | |||
Warrant [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 0 | |||
Allocated Share-based Compensation Expense, Total | $ | $ 61,050 | $ 125,867 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Exercised | 0 | 225,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | 58,824 | 46,875 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number, Ending Balance | 16,110,517 | 11,469,341 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value, Ending Balance | $ / shares | $ 0.62 | $ 0.74 | ||
Restricted Stock [Member] | Non-employee Directors [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 120,000 | 120,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ / shares | $ 0.50 | $ 0.50 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Vesting, Number of Equal Quarterly Increments | 4 | 4 | ||
Allocated Share-based Compensation Expense, Total | $ | $ 30,000 | $ 30,000 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Share-based Awards Other than Options | $ | $ 30,000 | $ 30,000 |
Note 6 - Stockholders' Defici37
Note 6 - Stockholders' Deficit - Additional Information Stock Options (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Weighted-average grant date fair value (in dollars per share) | $ 0.40 | $ 0.43 |
Number of options granted (in shares) | ||
Number of options expired or forfeited (in shares) | (45,000) | (257,500) |
Selling, General and Administrative Expenses [Member] | ||
Fair value of options, recognized as selling, general, and administrative expenses | $ 8,303 | $ 63,832 |
Note 7 - Comprehensive Loss - R
Note 7 - Comprehensive Loss - Reconciliation From Net Loss to Comprehensive Loss (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Net loss | $ (1,256,459) | $ (55,224) |
Other comprehensive loss: | ||
Foreign currency translation adjustment | 17,630 | 4,080 |
Comprehensive loss | $ (1,238,829) | $ (51,144) |
Note 7 - Comprehensive Loss - A
Note 7 - Comprehensive Loss - Accumulated Other Comprehensive Loss (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Accumulated other comprehensive loss | $ (23,910) | $ (41,540) |
Note 8 - Segments (Details Text
Note 8 - Segments (Details Textual) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Number of Reportable Segments | 1 | 1 |
Note 8 - Segments - Sales by Ge
Note 8 - Segments - Sales by Geographic Region (Details) - Sales Revenue, Segment [Member] - Geographic Concentration Risk [Member] | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
UNITED STATES | ||
Percentage of sales | 60.00% | 59.00% |
Europe [Member] | ||
Percentage of sales | 20.00% | 21.00% |
Other [Member] | ||
Percentage of sales | 20.00% | 20.00% |
Note 9 - Commitments and Cont42
Note 9 - Commitments and Contingencies (Details Textual) | Aug. 25, 2017USD ($) | Nov. 29, 2016USD ($)$ / sharesshares | Oct. 31, 2016USD ($) | Jul. 31, 2014USD ($) | Jul. 31, 2014GBP (£) | Dec. 31, 2016USD ($) | Mar. 31, 2018USD ($) | Jul. 30, 2014 | Jan. 31, 2014ft² |
Estimated Litigation Liability | $ 1,381,250 | ||||||||
Common Stock Issued and Outstanding Percentage Decrease | 3.00% | ||||||||
Gain (Loss) Related to Litigation Settlement, Total | $ (2,200,000) | ||||||||
Accounts Payable and Accrued Liabilities [Member] | |||||||||
Estimated Litigation Liability | 425,000 | ||||||||
Other Noncurrent Liabilities [Member] | |||||||||
Estimated Litigation Liability | $ 956,250 | ||||||||
Executive Officer [Member] | |||||||||
Stock Cancelled During Period, Shares | shares | 1,890,000 | ||||||||
Litigation Settlement, Amount Awarded to Other Party | $ 2,700,000 | ||||||||
Payments for Legal Settlements | 1,000,000 | ||||||||
Payments for Legal Settlements by Insurance Carrier | 500,000 | ||||||||
Estimated Litigation Liability | $ 1,700,000 | ||||||||
Payments For Legal Settlements, Installment Terms | 48 | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period | shares | 6,600,000 | ||||||||
Minimum [Member] | Executive Officer [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period, Weighted Average Exercise Price | $ / shares | $ 0.15 | ||||||||
Maximum [Member] | Executive Officer [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period, Weighted Average Exercise Price | $ / shares | $ 0.31 | ||||||||
Office Space In Newport Beach California [Member] | |||||||||
Additional Area of Land | ft² | 1,332 | ||||||||
Area of Land | ft² | 11,728 | ||||||||
Office Space In Newport Beach California [Member] | Minimum [Member] | |||||||||
Operating Lease Monthly Rent | $ 38,702 | ||||||||
Office Space In Newport Beach California [Member] | Maximum [Member] | |||||||||
Operating Lease Monthly Rent | $ 44,566 | ||||||||
Sublease in Newport Beach [Member] | |||||||||
Operating Lease Monthly Rent | $ 4,100 | ||||||||
Lessor, Operating Lease, Term of Contract | 1 year 270 days | ||||||||
Office Space in London England [Member] | |||||||||
Operating Lease Monthly Rent | $ 115,000 | £ 89,667 | |||||||
Lessee, Operating Lease, Term of Contract | 5 years | ||||||||
Operating Lease Service Charges | $ 56,000 | £ 45,658 |
Note 10 - Subsequent Events (De
Note 10 - Subsequent Events (Details Textual) - Subsequent Event [Member] - Senior Vice President Product Development [Member] | May 11, 2018$ / sharesshares |
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | shares | 500,000 |
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 0.50 |